Tag Archives: Home Sales

New home sales fell 7.3 percent in December to an annual pace of 369,000, the sharpest monthly drop in almost two years, the Census Bureau and Department of Housing and Urban Development reported Friday. Economists surveyed by Bloomberg expected the report to show a sales rose to 388,000. The monthly drop in sales was the largest since February 2011, when sales fell 11.4 percent. Nonetheless, December 2012 sales were up 8.8 percent over December 2011.

Pro Teck's ranking measures inventory, days on market, sales and listing activity, the ratio of sales price to list price, and foreclosures and REOs to determine the best- and worst-performing markets in the nation. January's top 10 list includes a mix of markets from all regions across the country, and ""even those in the Bottom 10 list are showing a fair percentage of positive trends,"" said Michael Sklarz, principal of collateral analytics at Pro Teck. Austin-Round Rock-San Marcos, Texas ranked as the No. 1 market in the country and was one of two Texas markets to make the top 10 list this month.

Out of the 42 largest counties in the nation, all 42 exhibited price growth on a monthly, yearly, and quarterly basis in December, according to DataQuick's monthly Property Intelligence Report. DataQuick's monthly Property Intelligence Report (PIR) assesses the housing market based on valuation trends, REO inventory trends, and sales trends metrics. In addition to positive price growth in all 42 counties, sales also showed substantial growth in December. While home prices and sales improved, VP of analytics for DataQuick Gordon Crawford, Ph.D., noted foreclosures worsened compared to November.

While some are asking when the economy will return to normal, others are wondering if this prolonged period of below-potential GDP growth is actually the ""new normal,"" according to a report from Fannie Mae's (FNMA/OTC) Economic & Strategic Research Group. For 2013 and 2014, Fannie Mae projects a continuation of below-potential economic growth, with a 2 percent growth rate expected for 2013, similar to the lackluster performance seen in 2012.

Pending home sales in California were brought down by lack of inventory while the share of distressed sales increased, according to data from the California Association of Realtors (C.A.R.). C.A.R.'s Pending Home Sales Index (PHSI) decreased 20.5 percent month-over-month as the index slipped from November's revised 103.5 to December's 82.3. After seeing declines, the combined share of all distressed property sales ticked up to 36.4 percent in December, up from 35.1 percent in November.

Home prices may appear to be in recovery mode, but they haven't reached bottom yet and probably won't until sometime in 2014, according to a report from DBRS. Although the rating agency acknowledged positive housing trends in 2012, such as signs of recovery for home prices, decreasing delinquencies, and more prime jumbo securitizations, DBRS still stated it ""believes that the housing market will remain under pressure in the foreseeable future.""

As the National Association of Realtors reported, home sales dropped in December. However, Capital Economics warns this should be no cause for despair. ""[M]onthly changes are volatile,"" the analytics firm stated Tuesday, adding that three-month averages are often more indicative of market trends and the numbers from a single month. Based on the three-month average, existing-home sales are still on the rise.

Existing-home sales fell 1.0 percent in December to a seasonally adjusted annual rate of 4.94 million, and November sales were revised downward, slipping below 5 million, the National Association of Realtors reported Tuesday. Economists had expected the sales pace to improve to 5.1 million. The supply of existing homes for sale fell in December to 1.82 million, the lowest level since January 2001. At the current sales pace, the homes available for sale represent a 4.4 month supply.

In a commentary from Capital Economics, economist Paul Diggle declared existing home sales are now at a ""historically-normal level"" relative to population after breaking past the five million mark. The NAR reported existing-home sales in November rose to a seasonally adjusted annual rate of 5.04 million. Based on pending home sales in November, the firm's calculation shows existing-home sales in December should increase to an annual rate of 5.15 million. NAR is scheduled to release data on existing-home sales on Tuesday, January 22.

As home prices continue to climb, real estate agents and homebuyers are maintaining a positive outlook for home values in 2013, a recent survey found. The survey, which was jointly released by Point2Homes and PropertyShark, reported 71 percent of survey respondents predicted home prices will go up or maintain their current level in 2013. The survey included nearly 1,500 real estate professionals and homebuyers.